In Martha's Case, It's About Lies

For most people it's still too hard to believe: You can go to jail in this country for lying to prosecutors about something that they otherwise would never have convicted you of.

But that's the way the country works. For rich or poor. For powerful or meek. Martha Stewart had many opportunities to tell the government or the press the truth. The government believes that she never did, that she concocted a story about what happened.

For most people it's still too hard to believe: You can go to jail in this country for concocting a story to the feds.

Normally it wouldn't happen. You simply wouldn't talk to the feds. The government gives you the right not to talk. You use that right when you aren't sure what you should say, not for when you are guilty. You use that right when you don't believe you have done anything wrong. It is a powerful right. It says, "The people of the U.S. have to prove I have done something wrong, and I haven't."

She ignored that right.

The government also says that you can tell your lawyer the truth. You can confide in your lawyer. The government can't find out what you say to your lawyer. That dialogue is privileged.

But every other dialogue you have is discoverable and it is very clear that the feds discovered pretty much everything Stewart said to everyone else. With it, they have created what I think is an airtight case that she can't beat. Which is why I believe she is going to jail. She has been betrayed, I believe, by pretty much everybody.

You may think she didn't commit a crime by trading on the Imclone tip. And you would be right. Federal prosecutor James Comey doesn't care about that. He cares about anyone lying to his office.

That's what he will convict Martha Stewart of doing wrong. The jury will love it. Stewart will go down. Only repentance and contrition will ease the peoples' coming severe decree.

Amazing.

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James J. Cramer is a director and co-founder of TheStreet.com. He contributes daily market commentary for TheStreet.com's sites and serves as an adviser to the company's CEO. Outside contributing columnists for TheStreet.com and RealMoney.com, including Cramer, may, from time to time, write about stocks in which they have a position. In such cases, appropriate disclosure is made. To see his personal portfolio and find out what trades Cramer will make before he makes them, sign up for Action Alerts PLUS by clicking here. While he cannot provide personalized investment advice or recommendations, he invites you to send comments on his column to [e-mail]. Listen to Cramer's RealMoney Radio show on your computer; just click here. Click here to buy Cramer's latest book, "You Got Screwed!" Click here to order Cramer's autobiography, "Confessions of a Street Addict."